The Radicals Gave Poroshenko a Ticket to Lipetsk
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At a Rally of the 'Right Sector' group near the Presidential Administration HQ, protesters brought Poroshenko a huge piece of candy and a symbolic ticket to Lipetsk, where he owns a chocolate factory. Ukrainian nationalists continue to increasingly exacerbate the situation in the country. The government either can't, or does not want, to negotiate with the people blocking the railways. The radicals organize daily protest rallies along with clashes, demanding the complete cessation of trade relations with Donbass. Glory to Ukraine! Glory to the heroes! Meanwhile, the transport blockade organized by the Ukrainian fighters against the Donetsk and Lugansk Republics has boomeranged back to affect Ukraine's own economy.
The one month the Donbass blockade has lasted, and which was, so to speak, organized by just 20 people, has cost Ukraine an estimated 10 billion. This is a very conservative estimate, because if the metallurgical plants stop operating, it will take several months to get them up and running again. This is the Kramatorsk Ferroalloy Plant. It is on Ukrainian territory. There is enough coal left for just two days of operation. Then they will have to stop the blast furnace. That is a critical moment, so to speak, as the processes that take place in the hearth are irreversible. The metal will simply solidify, and the blast furnace will be taken off-line. And in this case, the blast furnace is our entire plant.
Since Soviet times, the region's enterprises have been connected by technological supply chains. And now, when these plants are on opposing sides of the demarcation line, breaking these ties means destroying production. Ore, coal and electricity are now in catastrophically short supply on both sides. Ukraine's metallurgical complex — the plants in Mariupol, and other plants were meant to run on the coking coal from Donbass. Metallurgy, coke-based chemical production, and energy production, which are closely interrelated, are all suffering. The statements by the Ukrainian authorities that reserves relatively are sufficient, that they will last half a year, and that we don’t need any more are absolutely unrealistic for a one simple reason: Coal must be replenished regularly in the warehouses every day.
Ukrainian TPP have almost exhausted their coal reserves, and rolling blackouts now threaten most of the country's cities from day to day. That would inevitably lead to an increase in wholesale prices for electricity and will force the Ukrainian government to raise the price for the end user. And it's high enough as it is.
The Kiev government says that, either we should switch to nuclear energy, or that coal will now be brought in from South Africa. But any expert will tell you that Ukraine cannot do without Russian raw materials. If they bring coal from any of these places: from Colombia, Austria, Bangladesh, and so on, then that's it. The end. And, it's just a diversion. The thermo-electrical plants will stop, the technology will break down, because coals of a certain type, and I'll say it again, are made to only work with specific technologies.
Last year, Ukraine bought ten million tons of coal from Russia, and this year — almost half a million tons. And, surprisingly, is now blocking its entry into the country. And now they won't take any in Donbass, and we have also been blocked. All our coal has been exported, and we have no problem with that. But in Zaporozhye, as far as I know, they've had to take down production pretty dramatically. And what level will they reach? You can’t just stop a metallurgical plant completely, because the blast furnaces won't start up again. Plants in Donetsk were also supplied with Russian coal, but haven’t paid for it. The problem is that most of the large enterprises are still owned by Ukrainian oligarchs and are registered in Kiev. The scheme works in such a way that the expenses of Ukraine's citizens are covered from the budget. And with whom? With the oligarchs. With Poroshenko, who now controls almost the entire energy network of Ukraine. In Yenakiyevo, which is located on the territory of the DPR, the local metallurgical plant was closed today due to the blockade. None of the four machines is running. They say there are no raw materials. The coal is Russian, the plant is near Donetsk, and the only ones to benefit were the Ukrainian oligarchs.
Although the Kiev government long ago stopped paying salaries and pensions to those who live in Donetsk. In order to best protect these people and so they do not risk dismissal or non-receipt of wages, the Republic will undertake certain steps. These people will stay employed and continue working for their companies. Russia is not refusing to supply Donbass with coal, but, first, the deliveries should go directly, bypassing Ukraine. And secondly, Donetsk plants must pay for it regularly. So, in fact, the government in Kiev is leaving no choice for the DPR and the LPR but to take the plants under their own control, and to ensure they function independently, and without interruption.